Industry News

Olympus Announces Layoffs in Vision Statement

Valerie Coffey

June 15, 2012—Camera maker Olympus Corporation has announced layoffs of 2,700 of its global workers as part of its five-year medium-term vision, starting at the end of March 2013. With the theme "Back to Basics," the company promises a strategic return to its roots and a new management structure, expressing "regret for our past misconduct."

To achieve profitable growth in its imaging business, the statement promised to focus on developing conventional digital single-lens reflex cameras, mirrorless interchangeable-lens cameras and high-end compact cameras; and restructuring existing manufacturing functions, selecting and concentrating advertising, and reducing selling, general and administrative expenses through "personnel optimization." The goal is to turn an operating income margin of -8 percent as of March 2012 to a target margin of 5 percent by March 2017.

The reduction of seven percent of its workforce is expected to be complete by 31 March 2014. The vision further states plans to eliminate and consolidate 40 percent of its 30 global plants by March 2015.